RBS - Direct Line Conveyancing Panel Information

The Council of Mortgage Lender requirements of RBS - Direct Line are silent on this. Most mortgage companies deal with the issue of file retention via their Terms of panel appointment where they generally provide that for evidential purposes, the firm must keep the file for a minimum six years from the date of the mortgage. Data imagining is normally suitable compliance with this requirement. Many lenders point out in that it is the practice of some fraudsters to demand the conveyancing file on completion in order to destroy evidence that may later be used against them. It is therefore important to retain these documents to protect RBS - Direct Line’s interest. To be absolutely sure of RBS - Direct Line requirements in this regard please check the Terms and Conditions of RBS - Direct Line’s conveyancing panel membership.

In operating open conveyancing panels, lenders such as RBS - Direct Line face a number of fraud and negligence risks. While there is no authoritative source of data on lender exposure to solicitor–led mortgage fraud, anecdotal evidence from lenders indicates exposure on individual cases are often in the millions of pounds. The National Fraud Authority estimates that £1bn per year is lost in mortgage -related frauds in total, which is seen as a conservative estimate.

These risks are exacerbated by the lack of a comprehensive set of data on all conveyancing firms (which, for the avoidance of doubt, would include solicitors and conveyancers across the UK) which is in a readily accessible format. Currently, lenders vet the suitability of their panel firms against a variety of disparate, incomplete and potentially inaccurate sets of information. One top 5 lender pointed out to us that it is almost impossible to track individual fraudsters who move from firm to firm, especially where they are no longer registered or no longer hold a valid practicing certificate.

RBS - Direct Line and other lenders are in varying stages of reviewing their approach to vetting firms on their conveyancing panels, to ensure their ongoing exposure to unsuitable firms is reduced. There is also regulatory impetus on lenders to ensure that they have satisfactory oversight of their third party panels, including a due-diligence process.

During 2013, 82 sections of the UK Finance Lenders’ Handbook P2 were changed by RBS - Direct Line. Some changes are more important than others but as a firm on the RBS - Direct Line conveyancing panel you are of course obliged to comply with individual lender requirements, as set out in Part II of the UK Finance Lenders’ Handbook. Locktons have recently pointed out in an article that non-compliance with Part 2 requirements account for a number of high value claims, and it is therefore important to be aware of any particularly onerous terms that an individual lender may impose.

Remember: CML requirements are not guidelines; they are the lender client’s instructions.

9 borrowers attempt to locate a solicitor on the RBS - Direct Line panel each month in Hendon. The lenderpanel directory service team who will show you how your firm can be listed by those searching for conveyancing in Hendon.

In the circumstances please explain on the application what action you have taken to find out the reasons behind cancellation of your RBS - Direct Line panel membership. In particular please provide details if you have received communications from the lender. E.G. before revocation of your panel membership did you receive any letters or calls from the lender advising you as to their reasons?

You would be advised to contact RBS - Direct Line to obtain standard documents. The The Council of Mortgage Lenders Handbook contains an express section for banks to set out who to contact to obtain standard documents. RBS - Direct Line in their Part 2’s state: It helps to quote the firm’s RBS - Direct Line solicitors panel reference.